All Forum Posts by: Todd Anderson

@John Helms,

As it has been said it would depend on the property.  Specifically how long it has been on the market.  being that this is you first investment property is there a reason that you are not getting help on this one?  The right agent or team can help to make sure that you are making the best deal for you.  Working with someone who has done it before can save you a lot of money in the long run

I have some some good deals in that market on new construction.

Best of luck.

@Gabriel Shapira

The investors that I have talked with lately and others on BP seem to be very interested in the Charlotte area.  It makes sense because of their population growth and the strong job metrics of the area.  We have found good luck looking in the smaller markets just 30-45 minutes outside on the city.  There are some great incentives with the new builds in these areas.  many of the investors that I work with have found these deals beat anything else they find on the market.

Best of luck in NC, and let me know if you want more info.

 That's just my point you have a good 10-15 years to build a strong portfolio to take care of you and the next generation.  If you want I can show you what I mean. 

@Scott Davis,

I would totally agree with @Eric Gerakos thoughts.

The investors that I work with are looking at investing on the 1-2 per year plan.  let the  property season, for 1-4 years depending on market,  and then get the equity out and do it again.  

I have found working with these investors that if they focus on New Construction Investing they are able to not only keep their costs down but the properties appreciate better because the comps are new.  It sounds like with the capital that you have for the investment you would be able easely look at small multi family which would not only cash flow better but I have found that new construction duplexes and quads proform very will in appreciation.

If you are finding the right market the ability to scale will be there.  It will need to be done slow and steady but if done with quality properties, in 5-10 years you will have a very strong portfolio.

Best of luck.

@Ken Almira

Welcome to REI and the BP community. You will be able to find great and helpful information here.

I would recommend that you look at markets that are not as established and showing strong population and job growth.  The investors that I work with are looking for good entry price, steady cash flow and obvious appreciation.  We have been able to find this in some smaller secondary markets.  One I would recommend that you look at is Ocala.

I also talk with the OOS investors that I work with about looking at New construction.  With this type of property you will get lower insurance prices, lower maintenance and tenants like newer properties.  There are also some great incentives that some builders offer to move their properties.  Some like rate buydowns and free PM solve for the biggest problems in todays market.

Best of luck on your search, connect with me if you need more help.

@Shay Yao,

I think investing in your area is a great adea, if you're planning on managing the properties yourself.  This is a good way to learn and grow.  

If you are not planning on doing the management, and in today's world it doesn't pay very well for the time,  then you can look for the best market posable.  I have found that i can do much better in the long hold if I find a better market than where I live. 

The investors that I work with are looking for a market that is showing long term growth in both population and jobs.  I let them know that I also believe that it is worth looking to a market that has favorable rental laws.  I managed my own properties for a long time and some areas are getting laws that make no sense for the investor.

There are deals in many or all markets that you can find some cash flow, and for any deal that is important.  but for a long term hold investment to work best you need to get in the way of appreciation.  You can only do this in the right markets.

Best of luck on your first deal.  

@Byoung Bae,

Congrats on making the decision to make your first REI. You are starting off will asking questions to the BP community.

I would take some time and look at markets first.  after deciding to invest out of state you have no restrictions on where to invest.  Look to markes that are showing good steady population and Job growth.  This will allow you to get in the way of appreciation.  There will also be more tenants in this market and easier to find good tenants.  

After you find a market that checks those boxes, you can then build your team.  this can be done one by one or you can find a turnkey provider that has already done this.  Many of the investors that i work with like going with the turnkey strategy.  It allows them to focus less on the investment and more on making the money for the investment.  

The last thing I would suggest you look into is New Construction.  With a build to rent you have the opportunity to own the property for the first and best years of its life.  The maintenance costs will be much lower, the appreciation will be higher, and all renters like being in a newer place.  The investors that i work with find this to be a good way to get a more passive investment that still has the benefits of owning and controlling the property.

Best of luck getting started and connect with any questions.

@Laurence Mendonca,

Congrats on making the decision on looking into REI. You are in the right place learning from the BP community.

I have worked with a number of investors who have stated their investing journey this same way.  If you have some money for the down payment you may wont to look into starting to do your House Hack on a duplex or quad.  With only requiring 5% down the money needed is very low compared to the Cash On Cash return you could make on a small Multi Family.  Manytimes the investors that i work with find this a good strategy.  

I have talked with many investors lately who are very bullish on the Central FL market.   Their is strong population and job growth in a number of Central FL markets.  Find a good market that is growing and you can do the same thing next year.  You can look back in a short time and see a very nice portfolio.  

Best of luck and feel free to connect with any questions.  

@James Calvert

I would be happy to connect.  I am a district manager with a company called Build 2 rent, and i live in Cape Coral.  

North port is a great growing market, and I would expect that you will do very well on your first property.  That being said rents have flattened mainly because of the supply of new construction in the area.  There was a large number of starts all at the same time, during the end of Covid.  all those properties are coming to market now.  the good news is that new stars are way down. So once we work through this wave of inventory I would expect to see the market stabilize.

I still believe that this will be a great area to invest in for the future.

Reach out to me if you would like to connect.  Best of luck

@David Lewis,

I have talked with many investors in your position.  When i started investing i thought the investing where i lived was the only option.  It is true that you are able to find deals in every market, but one of the things I have learned is that finding the best markets to invest in is better that trying to make deals work in a bad market just because it is close to home.

To answer your other questions.  For a first time investors that I work with I would recommend going with a turn key solution.  If you are looking at a deal that has a Realtor, builder aan Property manage all involved in the deal makes a deal very easy for a first time investor to navigate.

Look for the market first and find an area that is growing in population and jobs.

Let em know if I can help more.  Best of luck